In today’s economy it’s more crucial than ever to have a good credit score, but millions of consumers simply don’t and all too often find themselves asking how can I improve my credit score?

How can I improve my credit score if I already have a credit record? The bureaus will have a credit file once you have credit accounts. Here are the 5 simple steps on “how to improve my credit score”.

• Use credit, but be smart about it. Use your credit wisely. Buy only the things that are necessary and pay track your balances every month on time. If you are up to improving your credit score then you have to prevent maintaining a $0 balance on your accounts. A $0 balance isn’t bad though but it will give the bureau the impression that you are not actively using your credit account. If you want to improve your credit score then leave a $5 - $10 remaining monthly balance. This demonstrates responsible and controlled use of credit. Even if you have all the means to pay your balances at the end of the period, never use your card to its limit. Keep your balance below 30% of the available limit. Can it really improve my credit score? You can see a good improvement on your score if you will keep your balance down to 10% of the available limit. You have to take extra care on this step since ? of your score is based on your credit utilization ratio.

• Disperse your credit. A single card with a huge balance is worse than small balances on several credit cards. It is also better for your credit card to have a wide gap on the balance and limit. How does this action help me improve my credit score? Although you'll still be rewarded for paying down installment debt (mortgages or auto loans) your scores improve much more dramatically when you pay down revolving debt. This is a significant step that everyone must take in order to improve their credit score.

• Don’t close any accounts hastily. While working on raising your scores, do not close any accounts. You want to know how it will help your credit score. Each of your accounts has a history, and your credit history represents 35% of your score. The lender will likely close your account if they think that you are no longer using it.

• A healthy mix of credit is a must-have step. Go ahead; ask me, "How does this improve my credit score?" Be informed now. An installment account and two revolving accounts could help improve your scores. Remember too many credit will scare away potential creditors. Aside from that, you will be interrogated longer once you apply for bigger loans.

• Be updated with your credit report. I personally do this one whether I am trying to improve my credit score or not. It is your right to ask for your report from the main bureaus. You have to check your report thoroughly to see if all the information reported are accurate and true. Request the bureaus change any inaccurate information on your report right away. You have to make your report as accurate as possible because you will be judged based on it.

The hardest feeling one can get is when you lose with credit score battle without giving a fight. If you already decided on giving a fair fight to good credit score visit http://www.legacylegal.com